Early 2005 has seen the Texas insurance marketplace
open up somewhat. More carriers are returning to the
state to provide Texas homeowner insurance. The Texas
auto insurance market seems prime for new carriers to
come in. The newest player to come into the market is
21st Century Auto Insurance.
The outlook for the Texas insurance market is good
due to that fact that in in 2004, home owners' insurance
rates have stabilized and competition has returned to
the market. Greater competition by insurers will translate
into better deals for consumers. We will soon approach
the one-year mark since companies were ordered to lower
their rates for homeowners insurance.
This is the logical point at which TDI would look back
and measure the impact, as well as assess the competitive
levels of the market going forward. If the market does
not show signs of stronger competition, Insurance Commissioner
Jose Montemayor will take whatever additional action
is necessary.
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